Japans Sales-Tax Struggle Brings Recession Surprise

Japans Sales-Tax Struggle Brings Recession Surprise

Assessment

Interactive Video

Business

University

Hard

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The video discusses the potential postponement of Japan's sales tax increase, which is seen as a setback for Abenomics. An advisor suggests delaying the tax hike, and Prime Minister Abe may call an election to seek public support for more stimulus and a tax delay. Despite a recession in the third quarter, Japanese companies are financially strong, with high profits and cash reserves. However, consumer spending has not yet increased. The video concludes with remarks from Bloomberg's economics editor.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the main reason for the proposed postponement of the sales tax increase in Japan?

A body blow to Abenomics

A change in government leadership

A decline in consumer spending

Pressure from international markets

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What unexpected economic trend was observed in Japan's third quarter?

An increase in consumer confidence

A fall into recession

A significant rise in exports

A surge in foreign investments

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How are Japanese companies positioned financially according to the third section?

They are heavily reliant on government subsidies

They are struggling with high debts

They have massive profits and cash reserves

They are facing a decline in market share

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What could potentially trigger Japanese companies to increase investment and wages?

A new trade agreement with the US

A rise in interest rates

An increase in consumer spending

A decrease in global oil prices

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the significance of the cash reserves held by Japanese companies?

They are used to pay off national debt

They are allocated for research and development

They are larger than the economy of Canada

They are invested in foreign markets